Analyst and oil and gas expert, Tunde Adeyemi explained how Nigerian Midstream and Downstream Petroleum Regulatory intervention helped end impeding airfare hikes and airline shutdowns over a surge in aviation fuel known as Jet A1.
He disclosed this in a statement on Wednesday.
Recall that domestic airline operators had threatened to hike airfares or shutdown operations upon a spike in JetA1 prices.
However, the minister of aviation and aerospace development, Festus Keyamo, had vowed to interview them.
Similarly, the NMDPRA, the country’s oil downstream sector regulator, also intervened, assuring airline operators of sufficient Jet A1.
NMDPRA had clarified JetA1 price stood between them. N1,960 per liter to N2,800 per liter, not above N3,000.
Reacting, Adeyemi, who is the director of the Centre for Energy Market Integrity and Sustainability (CEMIS), said the NMDPRA’s clarification on fuel availability and pricing came at a critical moment and helped quench the anxiety.
He said NMDPRA confirmation of 70 days of aviation fuel sufficiency reflects a strong supply position and underscores the resilience of Nigeria’s downstream petroleum framework.
“The timely intervention by the authority provided much-needed clarity and helped to calm frayed nerves within the aviation ecosystem,” Adeyemi stated.
He added that the regulator rose up to expectations at a time when misinformation could easily have escalated into a crisis.
“The regulator chose transparency and facts, which is commendable,” he said.
